Mitsubishi Heavy Industries and Xybernaut Corporation to Team on Wearable Computing
FAIRFAX, Va.--July 17, 2002--Xybernaut(R) Corporation today announced accelerated discussions on an alliance with Mitsubishi Heavy Industries (MHI) to develop, market and implement solutions built around both companies' intellectual property, operations, know-how and technical capabilities.
Although specific terms of the relationship were fully not disclosed at this, both MHI and Xybernaut have agreed to form a combined team to study developing, manufacturing and selling Xybernaut wearable computer products and solutions worldwide.
Under discussion is a potential partnership business entity that will be formed and jointly owned by MHI and Xybernaut. This business entity would be granted by Xybernaut an exclusive worldwide license under Xybernaut's intellectual property and patents related to hands-free wearable computers.
In addition, under this business combination, both companies have agreed that any existing Xybernaut licensee would be given the opportunity to continue its existing license arrangements.
Dr. Eng. Ayao Tsuge, Managing Director and Representative Director for MHI's Technical Headquarters (Tokyo, Japan), commented, "As a result of the technological and business exchanges with Xybernaut over the past two years, MHI has gained a strong appreciation for Xybernaut vision and business acumen. MHI now has a firm conviction that Xybernaut wearable computing technology and know-how will be able to contribute to the considerable improvement of the quality of MHI's in-house manufacturing, inspection processes and cost reduction, as well as to the substantial enhancement of the quality of its customer services."
Dr. Tsuge has indicated that MHI would also implement Xybernaut wearable technologies and solutions within the Company in order to enhance its technical competencies, productivity and profitability into the future.
"The preliminary goals for the MHI global deployment of Xybernaut wearable computers and solutions are to streamline the methods and procedures of operations; to generate significant return on investment (ROI); to enhance the quality of life for the MHI workforce; and to continuously improve overall quality of MHI products and services. The ultimate goal is to directly benefit MHI clients and provide MHI with a consistent competitive advantage," Dr. Tsuge added.
"By combining Xybernaut's strong know-how, vision, business analysis skills and patent position with Mitsubishi's major revenue producing operations, this potential alliance is an ideal business combination. We're very excited about this opportunity," said Tsuge.
"MHI is one of the world's premier and most diversified organizations, with a strong heritage of expertise in baseline industries such as power generation, aerospace, robotics, defense and shipbuilding," said Edward G. Newman, Xybernaut chairman, CEO and president. In addition, MHI has also proven successful in efforts to discover and leverage the next wave of new business opportunities."
"Considering MHI market dominance, capabilities afforded by six research and development centers, a strong set of individual and business values/ethics and focus on partnerships with leading edge 'can-do' companies such as Xybernaut, we are confident that we have now found the type of partner that we have been seeking," added Newman.
The new business entity, if formed, will concentrate both on identifying and prioritizing areas of opportunity and expertise within MHI and Xybernaut worldwide operations and deploying Xybernaut solutions into targeted business sectors.
Additionally, new product development, intellectual property development/maintenance and a wide variety of new business opportunities will be initiated to benefit both Companies.
About Mitsubishi Heavy Industries (MHI):
Global Headquarters Located at: 5-1, Marunouchi 2-chome, Chiyoda-ku, Tokyo, Japan Established: 1950 Employees: over 37,000 Sales: 2,637.7 billion yen (April 1,2000-March 31,2001) Primary Products and Services: Shipbuilding, Steel Structures, Power Systems & Nuclear Energy Systems, Aircraft & Space Systems, Chemical Plants, Environmental Systems, Transportation Systems, Machinery for Industrial and General use, Paper & Printing Machinery, Machine Tools, Air-conditioners and many others.
About Xybernaut:
Xybernaut Corporation is the leading provider of wearable/mobile computing hardware, software and services, bringing communications and full-function computing power in a hands-free design to people when and where they need it. Headquartered in Fairfax, Virginia, Xybernaut has offices and subsidiaries in Europe (Germany) and Asia (Japan). Visit Xybernaut's Web site at www.xybernaut.com.
Xybernaut, the Xybernaut logo and Mobile Assistant(R) V (MA(R) V) are trademarks or registered trademarks of Xybernaut Corporation in the USA and other countries. All other brand and product names are or may be trademarks of, and are used to identify products or services of, their respective owners.
This press release contains forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995 (the "Act").
In particular, when used in the preceding discussion, the words "plan," "confident that," "believe," "scheduled," "expect," or "intend to," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act and are subject to the safe harbor created by the Act.
Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements.
Such risks and uncertainties include, but are not limited to, market conditions, the availability of components and successful production of the Company's products, general acceptance of the Company's products and technologies, competitive factors, timing, and other risks described in the Company's SEC reports and filings.